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For expatriates living in Italy, understanding the requirements for declaring worldwide income is crucial. Staying compliant with Italian tax law helps you avoid unexpected penalties and ensures peace of mind—with support available from English-speaking tax experts. This guide breaks down Italian tax residency rules, worldwide income requirements, special expat regimes, and key filing deadlines.
You are considered a tax resident in Italy if you meet any of the following criteria:
If you are considered a tax resident, you must declare and pay Italian income tax on your worldwide income. This includes employment, investment, rental, and other income types, even those earned outside Italy.
Non-residents are only taxed in Italy on income sourced in Italy, such as Italian employment, rental income from Italian properties, or profits from business activities in Italy.
For the 2025 tax year, the Italian progressive income tax (Imposta sul Reddito delle Persone Fisiche - IRPEF) rates are:
€0 – €28,000 = 23%
€28,001 – €50,000 = 35%
€50,001 and above = 43%
Additional taxes may apply:
The US and Italy have a double taxation treaty, meaning most expats only pay tax in their country of residency. However, certain US-sourced income may still be taxed in the US. To avoid being taxed twice, you can use foreign tax credits to offset what you pay in Italy from your US taxes, or vice versa.
US expats can use the FEIE to exclude up to $130,000 (for 2025) of earned income from US taxation. However, if you are an Italian tax resident, Italy will still tax this income. A careful review of cross-border rules and credits is essential for compliance!
Italy offers the Impatriate regime (Regime degli Impatriati) as an incentive for workers relocating to Italy. To qualify:
Under these conditions, 50% of your Italian income becomes tax-exempt.
High-net-worth individuals moving to Italy may opt for a flat tax regime: €200,000 per year (increased from €100,000) covers all tax on foreign income, in place of the standard progressive tax. Local income remains taxed at the usual rates.
Navigating Italian taxes as an expat can be complex, especially with cross-border issues and changing rules. For optimal results, consult a qualified tax professional (commercialista) who understands both local and international obligations.
How do I file taxes in Italy as a non-resident? Non-residents only need to file a tax return (Modello Redditi PF) if they receive income from Italian sources, such as rental income or employment in Italy. You can file online from abroad using authorized digital platforms or work with an English-speaking tax expert for assistance.
Do I need to pay tax on my rental property in Italy? Yes. Both residents and non-residents must declare Italian rental income to the Italian tax authorities and pay the appropriate taxes (including cedolare secca or regular progressive tax, plus any applicable surcharges).
What is the deadline for filing Italian taxes? For most individuals, the standard deadline is June 30th for the first payment and November 30th for the second installment. Filing must typically be completed by these dates each tax year.
Do I need a commercialista (accountant) to file in Italy? While you can file yourself using online platforms, having a commercialista or a digital expat tax advisor can help navigate cross-border complexities, ensure correct filings, and optimize your deductions.
Whether you need to declare worldwide income or just want help with Italian property rental tax, ItalianTaxes.com offers easy, expert-supported tax filing and payment—entirely online, in English, and tailored for foreigners, expats, and non-residents.
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From income reporting and local tax compliance to legal documentation and payment workflows — we’re building the first truly connected platform for non-resident property owners. No fragmented tools, no language barriers — everything in one place, for Italian taxes, in plain English.
